New Delhi: Digital gaming company Games24X7 has started the process to lay off around 70 per cent or around 500 employees, following the government’s ban on all forms of money-based online games, sources aware of the development said.
An email query sent to the company elicited no reply.
“There were around 700 to 750 employees at Games24X7. The company is now laying off around 70 per cent of them. Around 500 people may be impacted,” a source aware of the development said.
The lay-off information was also confirmed by a company staff member who said “the majority of employees” are being laid off, but could not mention the exact number of people to be impacted.
Several companies that were engaged in the real-money gaming business have started laying off the majority of their staff.
The Promotion and Regulation of Online Gaming Act, 2025, passed by Parliament on August 21, bars all forms of online money games while promoting e-sports and other online games.
The Act seeks to prohibit advertisements related to online money games and bars banks and financial institutions from transferring funds for any of such games.
Advertising of money games can attract imprisonment up to two years and/or a fine up to Rs 50 lakh. Facilitating financial transactions related to money games can lead to imprisonment for up to three years and/or a fine of up to Rs 1 crore.
Repeat offences attract enhanced penalties, including 3-5 years’ imprisonment and fines up to Rs 2 crore.
Meanwhile, major online money gaming players have complied with the government’s move and voluntarily announced the shutdown of their money-based gaming services.
The challenge for the government, however, remains in checking foreign-based online money gaming and betting platforms.
As per an estimate, 45 crore people in the country have lost around Rs 20,000 crore in a year after getting addicted to online money games.
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